COVINGTON, LA – June 25, 2019 – LLOG Exploration Company, L.L.C. (“LLOG”) announced today that it has initiated production from the Buckskin Project in the deepwater Gulf of Mexico. Buckskin is located on Keathley Canyon blocks 785, 828, 829, 830, 871 and 872 in approximately 6,800 feet of water. The initial phase of this large-scale, deepwater project consists of two wells in Keathley Canyon 829 and a six-mile subsea tieback to the Lucius platform at Keathley Canyon 875. Drilling and completion of the initial two wells, which were drilled to approximately 29,000 feet, occurred in 2018. Installation of subsea facilities to complete the tieback occurred in 2019. The drilling, completion, and subsea installation were completed ahead of schedule and on budget. Once fully established, the phase one production rate is anticipated to reach 30,000 gross barrels of oil per day. Additional phases of development will be required to fully develop the field, which is estimated to contain nearly five billion barrels of oil in place.
LLOG Exploration is the operator of the field and LLOG affiliate companies own a 33.8% working interest in the Buckskin development. Additional partners in the field are Repsol E&P USA Inc. (22.5%), Beacon Offshore Energy Buckskin LLC (18.7%), Navitas Buckskin US, LLC (7.5%) Ridgewood Energy1 (17.50%.).
Philip LeJeune, LLOG’s President and Chief Executive Officer commented, “The initiation of production at Buckskin marks a significant milestone for LLOG considering the scope of the field and its position as our first deepwater development in the Lower Tertiary trend. The successful execution of this project perfectly illustrates one of LLOG’s key strengths which is the ability to create significant value by reducing cycle times and introducing development efficiencies to world class assets. LLOG is looking forward to developing future phases of the project and embarking on additional opportunities in the Lower Tertiary. Later this month LLOG will spud a delineation well at the Leon discovery with the goal of bringing it to development in the near future. This is an exciting time for LLOG and I am appreciative and proud of the efforts of our employees, partners, and contractors.”
Operational Update
To date in 2019, LLOG has brought on six new deepwater wells, with the two wells at Buckskin, and additional wells at Who Dat, Red Zinger and Mandy. Two wells are forecasted to be brought online in December at the Stonefly development for a total of eight new production wells in 2019.
Additionally, LLOG has spud an exploration well as operator at its Spruance prospect in Ewing Banks 877 with partners Red Willow Offshore LLC, Houston Energy Inc., and EnVen Energy Corporation. Spruance is a subsalt prospect in 1,600 feet of water.
Finally, LLOG has signed a production handling agreement to develop its Praline discovery via a tieback to the Pompano platform in Mississippi Canyon 29. Praline is a Pliocene-aged subsalt oil discovery located in Mississippi Canyon 74. The well is scheduled to be completed in the fourth quarter of 2019 with first production expected in 2020. LLOG is the operator and its partners on the discovery are Ridgewood Energy1, Red Willow Offshore LLC, Houston Energy Deepwater Ventures XII, CL&F Offshore LLC and Beacon Offshore Energy.
About the Company
LLOG Exploration Company, L.L.C. was founded in 1977 and is one of the largest privately-owned exploration and production companies in the United States. The Company owns and operates a diverse set of production, development, and exploration properties in the Deepwater Gulf of Mexico. LLOG is headquartered in Covington, Louisiana with a second office in Houston, Texas.
(1) Ridgewood Energy consists of entities managed by Ridgewood Energy Corporation (which includes Riverstone designated affiliates)
